OLYMPIA, Wash. — People looking to put their homes on the market in Olympia will soon have to get an energy assessment first.
The extra step is meant to add transparency for homebuyers, but real estate agents say they are concerned about potential impacts on the housing market.
RELATED: Thurston could become 1st county in U.S. to mandate energy assessment before home sales
During the public comment period at a Tuesday City Council meeting, residents shared strong opinions both for and against the city’s impending vote to require a Home Energy Score, or HES.
Ultimately, the mayor said the city needs to have courage in addressing climate change, and the policy passed unanimously.
The ordinance requires sellers to obtain a professional evaluation of insulation, heating and cooling systems, and water heating systems. The assessment can cost a few hundred dollars and is intended to help buyers better understand the full cost of operating a home, while encouraging upgrades that lower utility bills and reduce carbon emissions.
“The result is a well-designed ordinance that is reasonable, inexpensive, and helps consumers make better decisions in probably the largest financial investment they will make,” said Tom Crawford of the Thurston Climate Action Team.
RELATED: Thurston County considers requiring energy score before homes can be listed for sale
Not everyone supports the ordinance. Realtors and homebuilders said they are concerned about added costs and impacts on the housing market.
“It adds cost, time, and friction at the front of every transaction,” said Jessie Simmons of Olympia Master Builders. “In a market like Olympia, where home prices are $500,000, even small increases matter. That’s how families get priced out.”
The policy will not take effect until May 1, 2027, aligning with a similar Thurston County policy passed a week earlier and allowing time for the city to recruit and train auditors. As KOMO News previously reported, Department of Energy data shows the nearest assessors to Olympia are in the Portland area.
City officials estimate that in the first year, about 2,800 homes will be rated, resulting in more than $316,000 in energy savings. Officials say seven energy raters will be needed to meet that demand, with the next step being to contract with a third party to train and onboard assessors.
Sellers who fail to obtain an assessment could face daily civil penalties. The first violation carries a $50 fine, the second $125, and the third $250.
The legislation states the city may enforce the ordinance, but enforcement is not required.
